FLSA Information

UWG FLSA Updates and Implementation Information

On May 18, 2016, the Department of Labor announced its final rule updating the FLSA
overtime regulations with a December 1, 2016 deadline.

The Department of Labor’s Final Rule on Defining and Delimiting the Exemptions for
Executive, Administrative, Professional, Outside Sales and Computer Employees under
the Fair Labor Standards Act (FLSA) (the “Overtime Rule” or “Final Rule”) will strengthen
overtime protections and provide greater clarity for both workers and employers alike
across sectors, including higher education. The Final Rule updates the salary level
required for the executive, administrative, and professional (“white collar”) exemptions
to ensure that the FLSA’s intended overtime protections are fully implemented, and
to simplify the identification of overtime-protected employees. The Department of
Labor updated the salary level threshold above which certain “white collar” workers
may be exempt from overtime to equal the 40th percentile of earnings of full-time
salaried workers from the lowest wage Census Region. Once effective, the rule will
raise the salary level from its previous amount of $455 per week (the equivalent of
$23,660 a year) to $913 per week (the equivalent of $47,476 per year) in 2016. The
rule will also raise the compensation level for highly compensated employees subject
to a more minimal duties test from its previous amount of $100,000 to $134,004 annually.
The Final Rule establishes a mechanism for automatically updating the salary level
(and compensation level for highly compensated employees) every three years, with
the first update to take place in 2020. Salaried white collar employees paid below
the updated salary level are generally entitled to overtime pay; such employees paid
at or above the salary level may be exempt from overtime pay if they primarily perform
certain duties. These changes take effect on December 1, 2016. The Final Rule does
not include any changes to the duties tests, which also affect the determination of
who is exempt from overtime. Citation: (Wage and Hour Division, 2016)

In order to ensure timely compliance with the new regulations, The University of West
Georgia has decided to implement the changes for the campus effective November 1,
2016.For more information, please see the available resources herein.

All information is subject to change and will be updated as new materials are made
available: